Corporate Office Properties Trust (COPT or the Company) (NYSE: OFC) has
executed a long-term lease with a tenant for two spaces comprising
nearly 150,000 square feet at its Arborcrest office park, a five
building complex located in the Plymouth Meeting/Blue Bell submarket of
Philadelphia, Pennsylvania. The first space comprises 38,000 square feet
in 721 Arbor Way (Hillcrest II), a 183,400 square foot building that
COPT began redeveloping in 2012 and which is now 86% leased. This
portion of the lease commences in the second quarter of 2014.
The remaining 112,000 square feet has been leased in the
to-be-redeveloped 731 Arbor Way (Hillcrest III). This adjoining 141,000
square foot building is 79% leased as a result of this lease commitment.
The Company will begin redeveloping Hillcrest III in the first quarter
of 2014, with an anticipated completion date in the first quarter of
2015. As a result of this transaction, the four redeveloped buildings at
Arborcrest contain approximately 656,000 square feet and are 85% leased
in total.
Company Information
COPT is an office REIT that focuses primarily on serving the specialized
requirements of U.S. Government agencies and defense contractors, most
of which are engaged in defense information technology and national
security-related activities. As of September 30, 2013, COPT derived 64%
of its annualized revenue from its strategic tenant niche properties and
21% from its regional office properties. The Company generally acquires,
develops, manages and leases office and data center properties
concentrated in large office parks primarily located near
knowledge-based government demand drivers and/or in targeted markets or
submarkets in the Greater Washington, DC/Baltimore region. As of
September 30, 2013, the Company’s consolidated portfolio consisted of
210 office properties totaling 19.2 million rentable square feet.
COPT is an S&P MidCap 400 company.
Forward-Looking Information
This press release may contain “forward-looking” statements, as
defined in Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934, that are based on the Company’s
current expectations, estimates and projections about future events and
financial trends affecting the Company. Forward-looking
statements can be identified by the use of words such as “may,” “will,”
“should,” “could,” “believe,” “anticipate,” “expect,” “estimate,” “plan”
or other comparable terminology. Forward-looking statements are
inherently subject to risks and uncertainties, many of which the Company
cannot predict with accuracy and some of which the Company might not
even anticipate. Accordingly, the Company can give no assurance
that these expectations, estimates and projections will be achieved. Future
events and actual results may differ materially from those discussed in
the forward-looking statements.
Important factors that may affect these expectations, estimates, and
projections include, but are not limited to:
-
general economic and business conditions, which will, among other
things, affect office property and data center demand and rents,
tenant creditworthiness, interest rates, financing availability and
property values;
-
adverse changes in the real estate markets including, among other
things, increased competition with other companies;
-
governmental actions and initiatives, including risks associated
with the impact of a government shutdown or budgetary reductions or
impasses, such as a reduction in rental revenues, non-renewal of
leases, and/or a curtailment of demand for additional space by the
Company's strategic customers;
-
the Company’s ability to borrow on favorable terms;
-
risks of real estate acquisition and development activities,
including, among other things, risks that development projects may not
be completed on schedule, that tenants may not take occupancy or pay
rent or that development or operating costs may be greater than
anticipated;
-
the Company’s ability to sell properties included in its Strategic
Reallocation Plan;
-
risks of investing through joint venture structures, including
risks that the Company’s joint venture partners may not fulfill their
financial obligations as investors or may take actions that are
inconsistent with the Company’s objectives;
-
changes in the Company’s plans for properties or views of market
economic conditions or failure to obtain development rights, either of
which could result in recognition of significant impairment losses;
-
the Company’s ability to satisfy and operate effectively under
Federal income tax rules relating to real estate investment trusts and
partnerships;
-
the Company's ability to achieve projected results;
-
the dilutive effects of issuing additional common shares; and
-
environmental requirements.
The Company undertakes no obligation to update or supplement any
forward-looking statements. For further information, please refer to the
Company’s filings with the Securities and Exchange Commission,
particularly the section entitled “Risk Factors” in Item 1A of the
Company’s Annual Report on Form 10-K for the year ended December 31,
2012.
Copyright Business Wire 2014